Here’s a little story about overcoming fear.
You’ve accomplished launching a business and you’re now a small business owner and budding entrepreneur. Now that your business is stable, you can stop thinking about growth, right? Wrong.
Many small business owners are reluctant to grow their baby — using the term “baby” quite figuratively to illustrate a business that has not yet reached its full potential because it’s struggling from some serious attachment to its safe space. In reality, the correct term would be risk-averse, which quite literally means a disinclination to take risks. No entrepreneur is going to say building a business or creating a brand is fear-free, in fact, it’s quite the opposite… fear-full.
We all get it. Why fix what is not broken in the first place? Why increase your potential for failure when your current rate of success is not so bad? Well, when you’re not growing, you run the risk of staying behind, remaining stagnant, boring, passé, and eventually a thing of the past. In this social-network driven day and age when new technologies and marketing strategies are inundating buyers with the next new thing, it’s imperative you reconsider putting your fear on mute. As a business owner, you must learn to master the waltz of fear and possibility. That means, where there is no fear, there is even less possibility, and the reverse is also true: big fear almost always equals big possibility.
We’ll go over how important it is to invest, to fear big and fail fast, how you can measure your risk of investments, how to win from your business failures, but first… let’s talk simple steps on how to get over the fear.
4 Tips to Overcome the Fear of Failure as a Business Owner
1 Imagine the worst, then let it go
Visualize the worst case scenario happening and then remove your thoughts from it. Accepting and removing the feeling of potential failure from your life will give clarity to your actions, inspiring every step to be imbued with a sense of optimism and good spirit — now that you’ve acknowledged what could go wrong, go right.
2 Keep in mind: regrets are worse than failure
Regrets linger much longer and have much more weight than fear. If you’re reluctant to branch out because your fear of failure, imagine living with the perpetual weight of the doubt of never having reached further. If you’re reluctant to branch out because you fear for your family’s stability, there’s a chance down the line that your business might become stagnant as a result of your fear of growth.
3 Develop a culture of experimentation
If you’ve failed many times in the past, fail faster in your present. Numerous failed attempts certainly signify that you already know exactly what won’t work, which means you’re close to what will work.
4 Accept inspiration
No, it’s not just a hoo-ha word artists use as an excuse to put off that new project “I’m not inspired today;” it’s science that you can make work to your advantage. Inspiration isn’t always everywhere, and won’t come every time you call for it… sometimes you have to actively seek it. Read about others who have accomplished the level of success you’re fearful of, or simply read about others who are successful regardless. Camino’s blog has several amazing resources that are sure to motivate: How 3 Latinos Achieved the American Dream and Became Millionaires; How Dollar Shave Club Achieved A Billion Dollar Evaluation in Less Than 6 Years. Take a quick browse on the website for many more if these didn’t pique your interest.
Now, let’s say we’ve finally crossed the bridge to the other side of fear, sided with the possibility rhythm of the waltz, became a growth experimenter… so now, what do you do? You put your capital where your mouth is, and I’m not just referring to dentists. If you’re even considering growth, your business is probably stable and you’ve saved up some funds — or have investors backing you up — but regardless, you have the money to spare. In The Importance of Working Capital, Camino Financial details exactly how you can use your funds to invest in your own company. New equipment? Check. New bathroom for your business? Check. New marketing team? Definitely, check (this is a huge factor for the growth of your business) — it took Jennifer López more than 10 years to become an overnight success.
3 Tips to Evaluate Potential Risk in your Business
You have overcome the fear of failure and you’ve decided which area of your business you’d like to grow. But you still want to gauge how much this ‘risk’ could potentially cost you. That’s perfectly normal. Here are a couple steps you can take to determine the risk:
1 Identify what your potential risks could be
The Small Business Administration publishes a Small Business Insurance and Risk Management guide that can help you identify potential risks, such as:
- Property losses
- Business interruption losses
- Liability losses
- Key person losses (when the company owner or a key employee leaves or passes away)
- Injury to employees
2 Measure the impact of potential risks
If you’re hiring a marketing team or a PR agency to help grow your brand, likely the risk will be the financial loss. If you can handle the financial loss without hurting your employees’ salaries, you’ll be the only one to take a hit. Not ideal, but definitely not the worst case scenario.
3 Invest in business insurance
This is an integral factor in managing your risk because it helps you cover for any losses you might have experienced (whether financially, liability or a disaster) in the event you don’t have the funds to splurge.
Did this article change the way you think about growing your business? Did it give you the extra oomph to do so? If so, be sure to drop us a line on the comment section below or via social media at @caminofinancial. If not, let us know how we can better cater to your entrepreneurial needs via this blog. After all, it’s a resource that’s here to help YOU. We’re always waiting to hear from you!